Businesses and organisations face all kinds of risks everyday. Without risks, businesses would not grow and become successful.
Risk management refers to the practice of identifying potential risks in advance, analysing them and taking precautionary steps to reduce or curb the risk.
According to standards compliance and information company SAI Global, risk management relates to how an organisation can effectively identify and manage the threats and opportunities that confront it while maintaining an effective compliance program.
Why should an entity give attention to risk management?
It’s because risk management provides stakeholders, which include shareholders, customers, employees and so on, the assurance that the business is being managed effectively. It helps the organisation confirm its compliance with corporate governance requirements.
Corporate governance and compliance to accepted standards both depend on a strong understanding of risk and the means of successfully managing it, said SAI Global.
Risk management is pertinent in all organisations, whether they are small or medium enterprises or large corporations, and whether they are public or privately owned entities. All industries benefit from enhancing their risk management programs, especially in the ever-changing business landscape where new types of risk crop up everyday.
Businesses fear a lot of risks, but even the experts in risk management find themselves stumped when they’re faced with exceptionally challenging situations.
There is the damage to reputation which is quite prevalent nowadays especially with the pervasiveness of social media. There is also the risk of hiring talents that are not good fit for the company, affecting its productivity.
Then there are risks that are beyond an organisation’s control such as the risk of business disruption brought about by forces of nature such as natural calamities. There is also the regulatory risks, policies set by governments and weaker economies which we are witnessing more of in recent years.
This is why it is imperative for entities to develop their risk management practices now more than ever.
SAI Global offers different levels of its Governance, Risk Management and Compliance Training which assist organisations in implementing risk management objectives and activities and implementing an integrated approach to risk management and compliance
The Training also helps organisations identify and apply management and reporting systems and learn how to become an effective and efficient compliance manager.
Organisations can avail of an Introductory, Specialist, Diploma, or Advanced Diploma level, delivered either through Public, In-house or On-demand options.
“Working with risk management processes such as the Australian and New Zealand Risk Management Standard AS/NZS ISO 31000 and current compliance standards, SAI Global’s training will provide you with the tools, systems and procedures you need to develop, implement and assure effectiveness in compliance and risk programs,” according to the company.
To book a training call 1300 727 444 or email [email protected]
To download a free sneak peak of the training, go here.